2. Introduction
Economic development in India.
Financial sector reforms:-
FOREX market reforms
List of various act :-
PMLA act 2005
IDBI act 2003
SEZ act 2005
NationalTaxTribunal act
Conclusion
3. India’s financial sector is diversified and
expanding rapidly.
It comprises commercial banks, insurance
companies ,non- banking financial
companies, cooperatives , pensions funds,
mutual funds and other smaller financial
entities.
4. Ours is a bank dominated financial sector
and commercial banks accounts for over 60
% of the total assets of the financial system
followed by the insurance sector .
Other bank intermediaries include RRB and
cooperative bank that target under serviced
rural and urban populations.
5. The economic development in India followed
socialist-inspired policies for most of its
independent history, including state-
ownership of many sectors; India's per capita
income increased at only around 1%
annualised rate in the three decades after
Independence.
6. Reforms of security interest laws in India in
particular, the passing of the Securitisation and
Reconstruction of Financial Assets and
Enforcement of Security Interest act 2002
(SARFAESI)
In June 2004 the existing limits on unsecured
exposure(unsecured advances as a ratio of total
advances, which stood at 15% )of banks were
withdrawn this enabled banks to set their own
limits on unsecured exposures.
7. The investment limit in plant and machinery for
various good which figure in the list of goods
reserved for manufacturing in SSI sector
increased from time to time.
For e.g....on June 12 2004 for sport goods it was
in increased from 1 crore to 5 crore
In Aug 2005 banks were allowed to extend
financial assistance to Indian companies for
acquisition of equity in over seas joint venture
wholly owned subsidiaries or other over seas
companies.
8. During 2003-04 the average monthly
turnover in the Indian foreign exchange
market touched about 175 billion us $ .
Since 2001 ,clearing and settlement function
in the foreign exchange market are largely
carried out by clearing corporation of India
limited that handle transaction of
approximately 3.5 billion dollar a day, about
80% of the total transaction
9. Since the mid-1980s, India has slowly opened
up its markets through economic
liberalisation.
After more fundamental reforms since 1991
and their renewal in the 2000s, India has
progressed towards a free market economy
10. Prevention of money laundering act 2002.
Industrial development bank act 2003.
Special Economic Zone(SEZ) act 2005.
National tax tribunal act 2005.
11.
12. Introduction:- An Act to prevent money-
laundering and to provide for confiscation of
property derived from, or involved in, money-
laundering and for matters connected therewith or
incidental thereto.
Citation :- Act no. 15 of 2003
Enacted by:- Parliament of India
Date enacted:- 17 January 2003
Date assented to:- 17 January 2003
Date commenced:- 1 July 2005
13. The Prevention of Money Laundering (Amendment)
Act, 2005
The Prevention of Money Laundering (Amendment)
Act, 2009
The Prevention of Money Laundering (Amendment)
Act , 2013.
Amendments:-
14. IDBI Bank Limited is an Indian financial service
company headquartered Mumbai, India.
RBI categorised IDBI as an "other public sector
bank".
It was established in 1964 by an Act of Parliament
to provide credit and other facilities for the
development of the fledgling Indian industry.
.
15. It is currently 10th largest development bank in the
world in terms of reach with 1945 ATMs, 1159
branches including one overseas branch at DIFC,
Dubai and 779 centres including two overseas
centres at Singapore & Beijing.
IDBI Bank is on a par with nationalized banks and
the SBI Group as far as government ownership is
concerned. It is one among the 26 commercial
banks owned by the Government of India
16. List of Institutions built by IDBI:-
• Securities and Exchange Board of India (SEBI)
• National Stock Exchange of India(NSE).
• National Securities Depository Limited(NSDL)
• The Stock Holding Corporation of India Limited
(SHCIL)
• Credit Analysis & Research Limited
• Export Import Bank of India (EXIM)
• Small Industries Development Bank of India (SIDBI).
17. A Special Economic zone (SEZ) is a geographical
region that is designed to export goods and provide
employment. SEZs are exempt from federal laws
regarding taxes, quotas, FDI-bans, labour laws and
other restrictive laws in order to make the goods
manufactured in the SEZ at a globally competitive
price.
The category SEZ includes free trade zones (FTZ),
export processing Zones (EPZ), free Zones (FZ),
industrial parks or industrial estates (IE), free ports,
free economic zones, and urban enterprise zones
18. An Act to provide for the adjudication by the
National Tax Tribunal of disputes with respect to
levy, assessment, collection and enforcement of
direct taxes and also to provide for the adjudication
by that Tribunal of disputes with respect to the
determination of the rates of duties of customs and
central excise on goods and the valuation of goods
for the purposes of assessment of such duties as well
as in matters relating to levy of tax on service, in
pursuance of article 323B of the Constitution and
for matters connected therewith or incidental
19. The reforms currently underway in the banking sector and in the capital
market, combined with the agenda for reform identified for the insurance
sector, represent a major structural overhaul of the financial system. It
will certainly bring India=s financial system much closer to what is
expected of developing countries as they integrate with the world
economy. As in so many other areas, reforms in the financial sector have
been of the gradualist variety, with changes being made only after much
discussion and over a somewhat longer period than attempted in most
other countries. However the direction of change has been steady and in
retrospect a great deal has been accomplished in the past seven years. It is
essential to continue these reforms along the directions already indicated
and to accelerate the pace of change as much as possible.
20. Finally, it is important to recognise that financial sector
reforms by themselves cannot guarantee good economic
performance. That depends upon a number of other factors,
including especially the maintenance of a favourable macro
economic environment and the pursuit of much needed
economic reforms in other parts of the real economy. The
impact of financial sector reforms in accelerating growth
will be maximised if combined with progress in economic
reforms in other areas.
